- Five Mutually Exclusive Projects Are Available For Funding By A Government Agency The Following Tabulation Table 3 Sh 1 (111.49 KiB) Viewed 12 times
Q4
Five mutually exclusive projects are available for funding by a government agency. The following tabulation (Table 3) shows the equivalent annual benefits and costs for each: Table 3, the equivalent annual benefits and costs of five projects Project Annual Costs (RM) P 2,000,000 4,200,000 6,800,000 2,800,000 5,400,000 b) Q R S T Annual Benefits (RM) 1,800,000 5,600,000 8,400,000 2,600,000 6,600,000 a) Use Benefit-Cost ratio to determine which alternatives should be selected for funding. [7 Marks] [C5] Use the B-C method (incrementally) to select the best alternative. [8 Marks] [C5]